Question: Recently, some US and European politicians and media outlets have claimed that China is “dumping” its “new three”, namely electric vehicles, lithium batteries and photovoltaic products, alleging that they “disrupt global markets”. What is China’s comment?
Embassy Spokesperson: The allegation that China is “dumping” its “new three” runs counter to the facts and defies basic economic logic. This narrative blames China for other countries’ lack of competitiveness, seeking to enjoy the dividends of China’s new energy development while wielding the stick of trade protectionism.
First, the success of China’s “new three” abroad is not driven by subsidies, but real competitiveness. China has long phased out relevant export subsidies. The export tax rebate for photovoltaic modules has been reduced from 9% to 0%, and the export tax rebate for lithium batteries is set to be fully eliminated by 2027. Even with the phase-out of these rebates, China’s “new three” exports have continued to grow rapidly, reaching 1.28 trillion yuan in 2025, a 3.5-fold increase over five years. Facts speak louder than words: if subsidies were truly the key to export advantage, that advantage would have disappeared the moment rebates were lowered.
Second, the claim of “low-price dumping” simply does not stand. Chinese new energy vehicles are generally sold overseas at roughly double their domestic prices. Photovoltaic modules and energy storage batteries are priced higher in Europe and the US than in China. This proves that the core competitiveness of Chinese products comes from technological innovation, a complete industrial chain, and economies of scale, not price wars. Even some European and American consulting firms acknowledge that the cost advantage of Chinese automakers comes from vertical integration and standardised components, which can account for up to 30-40% of the total cost of a vehicle. This is fair competition under the market economy, not dumping.
Third, global green capacity is not excessive, but seriously insufficient. The International Energy Agency projects that global demand for new energy vehicles will reach 45 million units by 2030, more than double the 2025 level. Climate change is a challenge facing all humanity. Instead of waging a trade war with no winners, countries should work together so that people in more countries and regions can enjoy the green, convenient and affordable benefits of Chinese new energy products.
The rise of China’s “new three” is the result of forward-looking planning, long-term commitment and full market competition. We welcome fair competition and oppose double standards. China’s right to development should not be stripped away by the arbitrary label of “dumping”, and the global green transition must not be blocked by protectionism.
